PM, NTPC lend buoy

STOCKS REPORT

The strong response to the National Thermal Power Corporation's (NTPC) initial public offering (IPO) and the Prime minister's talk on tax reforms in next year's Budget propped up the markets on Thursday.

Despite international oil prices hitting new highs, the Bombay Stock Exchange (BSE) Sensex hit an intra-day high of 5793.08 and a low of 5718.64 before closing at 5773.66, up 1.05 per cent (59.91 points) from Wednesday's close.

Blue chip stocks witnessed good buying, with 24 out of the 30 Sensex stocks closing higher.

The BSE Consumer Durables Index was the biggest gainer, up 1.94 per cent, followed by the metal index up 1.82 per cent, oil and gas index up 1.19 per cent and the IT index up 1.10 per cent.

The broader market reflected the positive sentiment, with gainers outpacing losers in the 11:8 ratio on the BSE.

Power companies were in focus on Thursday, with Tata Power being the biggest gainer in the Sensex basket, rising 4.76 per cent to close at Rs 331.30. Reliance Energy was the biggest loser in the Sensex basket, down 0.92 per cent to Rs 664.15.

Brokers said institutional investors' interest in Indian shares has bode well for the market.

Sources said despite global crude oil prices hitting a new high, the market undertone was positive in anticipation of strong earnings in the July-September quarter.

They added that strong foreign fund buying was also instrumental in lifting the market.

Other top gainers in the Sensex basket were Bharti Tele-Ventures, up 3.93 per cent to Rs 154.65, Tata Steel up 3.50 per cent to Rs 300.05, Reliance Industries up 2.13 per cent to Rs 558.45, ONGC up 1.98 per cent to Rs 805.45 and Wipro up 1.66 per cent to Rs 632.10.

Among the top Sensex basket losers, ICICI Bank fell 0.68 per cent to Rs 293.65, HPCL down 0.46 per cent to Rs 324.20 and Larsen & Toubro down 0.45 per cent to Rs 844.75.

Foreign institutional investors were net buyers worth Rs 21.80 crore, while domestic mutual funds were net sellers to the tune of Rs 36.60 crore on Wednesday.

Turnover was lower in the cash segment. The BSE reported a turnover of Rs 2,055.91 crore and the National Stock Exchange reported a turnover of Rs 4,122.65 crore.